In Real Estate the most talked about and most well known cycle is The Real Estate Market Cycle in Greenfield, Franklin County and Western Mass and Beyond. You hear people saying that "We're in a Sellers Market" or "It's a Buyers Market" or that "the Market is Leveling off".
You've heard the term History repeats its self. Well, Real Estate does the same thing. The Real Estate Market Cycle in Greenfield, Franklin County and Western Mass and Beyond is made up of 3 markets and these 3 markets continually cycle. The cycle goes from a Sellers Market to a Buyers Market to a Balanced Market and back around to the Sellers Market > Buyers Market > Balanced Market and around again....
The only variable in the The Real Estate Market Cycle in Greenfield, Franklin County and Western Mass and Beyond is the length of time the cycle will last. Things like job stability, interest rates, consumer confidence and whether the move up buyer is moving to keep the buying and selling cycle moving all effect the length of time that segment of the cycle will last.
So what makes up each Market and How do you know what part of the Cycle your in?
You know you're in a a Sellers Market when the prices are rising, the inventory is low, there are more buyers then sellers in the market place and the days on the market are less than 90 days. Signs of a Sellers Market are several buyers offering on the same house (multiple offers), houses going under agreement the same day or week they're listed and houses selling for more than list price.
In a Buyers market, the prices are typically dropping, the inventory is high, there are more house to pick from, there are more sellers than buyers and the average days on the market are more than 120 days. Signs of a Buyers Market are price reductions, increased bank foreclosures and short sales.
To complete The The Real Estate Market Cycle in Greenfield, Franklin County and Western Mass and Beyond there is a leveling off period when the market is Balanced. There is a more equal amount of buyers and sellers in the market, prices are stable and the days on the market are 90-120 days. Those of us who have been in the industry for a while and have been through a few cycles call this Business as usual. Although this too will pass and the cycle will continue to move on.
So.. The bottom line. Real Estate is cyclical business. Real Estate is a Long Term Investment. Owning Real Estate is still and always will be The American Dream. and... There are always opportunities in every part of the cycle in Real Estate
No matter what part of the cycle you're in, you will need the assistance of a Knowledgeable Realtor to be your advocate and help you through one of the most important events in your life. Contact me today for a private, confidential consultation.